Prada Group announced on Tuesday the completion of the acquisition of the famous fashion house Versace for 1.4 billion dollars, in a step considered among the most prominent moves in the Italian fashion world in recent years.
This acquisition places one of the most famous fashion houses, known for its "bold and striking designs," under one roof with Prada's "spontaneous and elegant" style, according to Italian media.
This step comes after a modest performance by Versace after the pandemic, and Prada has confirmed in a brief statement that it has completed the deal after obtaining all the required regulatory approvals.
Lorenzo Bertelli, the heir to the Prada Group, will assume the position of Executive Chairman of Versace, in addition to his current responsibilities in marketing and sustainability at the group, and said Bertelli that he will not make quick managerial changes, but he indicated that "Versace," despite being one of the top 10 fashion brands globally, was "far below its market potential".
Prada confirms that the famous Italian brand has huge untapped growth potentials, and Versace is currently undergoing a phase of creative renewal led by the new designer Dario Vitali, who showcased his first collection during the Milan Fashion Week in September, and after the merger, Versace will represent 13% of Prada Group's revenues, compared to 22% for Miu Miu and64% for Prada.
